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That doesn't make sense. Why is Twitter forced to hold the debt for being purchased and not Elon? Looking at the numbers that is a lot of debt: https://www.ws
by Choco31415 3y ago
That doesn't make sense. Why is Twitter forced to hold the debt for being purchased and not Elon?
Looking at the numbers that is a lot of debt:
https://www.wsj.com/articles/elon-musks-twitter-takeover-seen-swelling-the-companys-debt-11666609106 https://www.wsj.com/articles/elon-musks-twitter-takeover-see...
"As part of the deal, Twitter will add about $13 billion of debt. Analysts estimate, based on terms previously laid out in documents related to the transaction, that Twitter would be on the hook for annual interest payments of more than $1 billion, compared with some $51 million in 2021."
- sanderjd 3y ago> Why is Twitter forced to hold the debt for being purchased and not Elon? Just because that's what was written into the contract when the acquisition happened. Something different could have been put in the contract, but this is what was actually written in it and signed off on by all the parties to the deal.
- AmIDev 3y agoThat is no different than buying a house with a loan, where the loan is backed by the same house.